Kakao acquires Ground X as 100% subsidiary

Son Min

Summary

Kakao said it acquired Ground X for KRW 13,644,710,000 and incorporated it as a 100% subsidiary.
Kakao said the acquisition will unify its blockchain-related technology subsidiary structure.
It said Kakao is expected to accelerate strengthening ties with the KAIA ecosystem and technology internalization.

Kakao has incorporated Ground X, which developed the blockchain platform 'Klaytn (now Kaia·KAIA)', as a wholly owned subsidiary.

According to a disclosure on the 22nd, Kakao purchased 4,470,744 shares of Ground X from Crust Universe on the 21st for KRW 13,644,710,000. With this transaction, Ground X became a subsidiary in which Kakao holds 100% of the shares.

The total number of issued shares of Ground X was 13,564,114. Previously, Crust Universe held 13,234,582 shares (97.57%) and Ground X held 329,532 treasury shares (2.43%). The company cancelled 8,763,838 shares through a paid-in capital reduction on October 14, and on October 15 it also cancelled all 329,532 treasury shares. Thereafter, the remaining shares held by Crust Universe were transferred to Kakao, completing the acquisition.

Ground X was established in 2018 as Kakao's blockchain technology affiliate, developed the blockchain network 'Klaytn', and has operated the crypto asset wallet services 'Clip' and 'Kaikas'. With this acquisition, Kakao is expected to unify its blockchain-related technology affiliate structure and accelerate strengthening ties with the KAIA ecosystem and technology internalization.